[WSBARP] Homeowners association

Rob Wilson-Hoss rob at hctc.com
Thu Sep 6 10:12:50 PDT 2018


Generally, as to an association, the tests are not as straightforward as
they could be, but put it all together from the cases, and if the
association uses a fair process in good faith and is reasonable, then the
court will not substitute its judgment. There are special rules about the
ability of an association to interpret its own rules. It is not yet the
business judgment rule and may never be, in this state. 

 

And as to individual Directors, condo Directors have their own statutory
standard of reasonableness, and HOA Directors have a standard borrowed from
the nonprofit corporation act, which is, subjective belief it is best for
the association; good faith; and reasonably prudent person. But these duties
are owed to members and the association, not third parties. 

 

Rob

 

Robert D. Wilson-Hoss 
Hoss & Wilson-Hoss, LLP 
236 West Birch Street 
Shelton, WA 98584 
360 426-2999

www.hossandwilsonhoss.com
 <mailto:rob at hctc.com> rob at hctc.com

 

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From: wsbarp-bounces at lists.wsbarppt.com
[mailto:wsbarp-bounces at lists.wsbarppt.com] On Behalf Of
scott at scottgthomaslaw.com
Sent: Wednesday, September 05, 2018 4:43 PM
To: 'WSBA Real Property Listserv'
Subject: [WSBARP] Homeowners association

 

We know that restrictive covenants are enforceable promises regarding the
use of land, and that the basic rules of contract interpretation are applied
to interpret covenant provisions.  We also know that in every contract there
is an implied duty of good faith and fair dealing.  Riss also tells us that
covenants requiring homeowners’ association consent before construction will
be upheld so long as the authority to consent is exercised reasonably and in
good faith.  But I am wondering if it may be argued that Homeowner’s
associations are also obligated to make other decisions in a reasonable way?

 

Scott G. Thomas

Thomas Law Group, P.S.

1204 Cleveland Ave.

Mount Vernon, WA  98273

Scott at ScottGThomasLaw.com

 



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